Can Brunei Darussalam economy withstand until the year 2035 or even 2020 with the current economic situation? Every country must have or face problems either social, political or economic issues. Not to mention, Brunei Darussalam also faces these issues. One of the issue that can be seen is economic issues where it can be seen to have effects on the country and also the people. Economic issue is the problem of having limited resources or revenue to satisfy the endless needs of the people and country. Although there are several other issues Brunei faced, but economic issues such as dependency on oil and gas, overspending of revenue, and domination of Chinese in Brunei economy, can slow the country’s development. To start off, the most noticeable
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One-way government overspending can be seen on the high rate of incoming foreigners and unemployment in Brunei. The high rate of unemployment and incoming foreigners have interrelationship. Government spend billions of dollar on education but leave the scholar unemployed after they graduate. With the jobs vacancies in both government and private sector, most of the jobs are given to non-local even though there is still a lot of unemployed educated and skill local. In a report, Brunei has the second highest rate of unemployed people. However, the government still employ foreigner which require a lot of money (salary, home, allowance). Another way most money spend on is importing staple food. For example, most rice and sugar are imported from Thailand, Cambodia, and Vietnam in order to meet Brunei’s demand. Brunei imported 90% of its rice from these countries, and the rest 10% is rice produce locally. Brunei has the land and proper condition to produce its own rice, and if it is produced locally, Brunei can halve the dependency from imported rice, in order to diversify and strengthening Brunei’s economy. Thus, overspending of country’s revenue can be an issue towards Brunei’s …show more content…
In Brunei, high number of private industries is dominated by non-locals, and it’s been like that for a while. Brunei relies too much on China’s investment that makes Brunei too relax in developing its economy. To achieve Brunei’s Vision 2035, Brunei seems to ‘go with the tide’ and gain benefits from these investments. As mentioned by Brunei’s foreign minister, Pehin Orang Kaya Pekerma Dewa Dato Seri Setia Lim Jock Seng, “China has great political will to step up mutual beneficial cooperation with Brunei,” and also said that China emphasizes its support and appreciation for Brunei’s desire for economic diversification as outlined in the country’s Vision 2035. For example, the Hengyi Industries project to develop an oil refinery and aromatics plant at Pulau Muara Besar (PMB). Brunei has grown accustomed to being spoofed, thus letting other people to do most of the development and just living off other people’s work. Additionally, there are a large number of private businesses owned by Chinese and fewer runs by local people. An example is Hua Ho Department Store the biggest retail business in Brunei. Most of the Chinese businessman in Brunei get recognition and given a title for their contribution to the country. Although, Brunei’s economy is boosted by the Chinese can increase GDP, it is more beneficial for the Malay to innovate and feel the pain of entrepreneurship instead of working or hoping for
One-way government overspending can be seen on the high rate of incoming foreigners and unemployment in Brunei. The high rate of unemployment and incoming foreigners have interrelationship. Government spend billions of dollar on education but leave the scholar unemployed after they graduate. With the jobs vacancies in both government and private sector, most of the jobs are given to non-local even though there is still a lot of unemployed educated and skill local. In a report, Brunei has the second highest rate of unemployed people. However, the government still employ foreigner which require a lot of money (salary, home, allowance). Another way most money spend on is importing staple food. For example, most rice and sugar are imported from Thailand, Cambodia, and Vietnam in order to meet Brunei’s demand. Brunei imported 90% of its rice from these countries, and the rest 10% is rice produce locally. Brunei has the land and proper condition to produce its own rice, and if it is produced locally, Brunei can halve the dependency from imported rice, in order to diversify and strengthening Brunei’s economy. Thus, overspending of country’s revenue can be an issue towards Brunei’s …show more content…
In Brunei, high number of private industries is dominated by non-locals, and it’s been like that for a while. Brunei relies too much on China’s investment that makes Brunei too relax in developing its economy. To achieve Brunei’s Vision 2035, Brunei seems to ‘go with the tide’ and gain benefits from these investments. As mentioned by Brunei’s foreign minister, Pehin Orang Kaya Pekerma Dewa Dato Seri Setia Lim Jock Seng, “China has great political will to step up mutual beneficial cooperation with Brunei,” and also said that China emphasizes its support and appreciation for Brunei’s desire for economic diversification as outlined in the country’s Vision 2035. For example, the Hengyi Industries project to develop an oil refinery and aromatics plant at Pulau Muara Besar (PMB). Brunei has grown accustomed to being spoofed, thus letting other people to do most of the development and just living off other people’s work. Additionally, there are a large number of private businesses owned by Chinese and fewer runs by local people. An example is Hua Ho Department Store the biggest retail business in Brunei. Most of the Chinese businessman in Brunei get recognition and given a title for their contribution to the country. Although, Brunei’s economy is boosted by the Chinese can increase GDP, it is more beneficial for the Malay to innovate and feel the pain of entrepreneurship instead of working or hoping for